If you expect hybrid work will keep your employees, you may be surprised.
Market crisis, inflation and uncertainty should theoretically help to keep employees with the company and encourage lower turnover. Especially when we, as an employer, give employees flexibility, offer hybrid work, a choice of location from which they want to do their jobs and offer other benefits. A proven employer in theory means more security.
➡If you think so, you’ll be surprised. . . In fact, the top three needs of workers until recently were flexibility to choose the work mode, more freedom and flexible working schedules. In other words the famous hybrid work. Of course, it is still important, but it is definitely taking a back seat and is no longer number one on the podium of needs, given galloping prices, expected further inflation and other market changes.
As much as 36 percent of Poles are actively looking for a new job, 83 percent are open to receiving a new job offer, according to figures from the latest study by Pracuj. pl. In mature markets such as the UK, a third of respondents, that is 37%, are considering changing jobs due to rising costs of living.
➡The main driver of a wage factor is the rapidly rising cost of living which forces people to look at their expenses and salaries and either get a raise or change employers. It could be compared to the “Maslov’s Pyramid” which I would call a pyramid of workers' needs. If your work and compensation do not satisfy your basic needs, then . . . Then there’s nothing to lose.
➡Flexibility of work will still be important if the salary is comparable or higher in comparison with other employers. Otherwise, you may find that you have no or very few applications when you publish a job advertisement. Current workers, on the other hand, whose salaries were attractive until recently, often look for another employer with view to a change.
The salary – whether we like it or not – is going up in the pyramid of demands because the budget of some of your employees is becoming increasingly scarce. At the same time, employers must not increase salaries by leaps and bounds because they also need to guard their budgets. Excessive wage increases can lead to wage gaps between new and existing workers.
Companies and managers need to be aware of these changes and consider not only the promotion of the benefits offered - including the hybrid work - but also the level of salaries. Recruitment agents with a broader view of the market know how to respond to changes and needs of employees and how to properly weigh the benefits offered by an employer. Get advice from our specialists at RICG who will support you throughout the recruitment pro